Tag Archives: Small Business Administration (SBA)

DOJ Continues to Crack Down on SBA Fraud

Written by and
On April 25, 2017, the DOJ announced that Michelle Cho, an officer of Far East Construction Corporation and other companies, received both prison time and civil penalties for her involvement as the mastermind of a fraudulent scheme to defraud the Small Business Administration’s (SBA) 8(a) program. Under this scheme, Cho would bid for set-aside contracts for small, disadvantaged businesses under the SBA 8(a) program. However, Cho’s companies would not perform this work. Instead, other large companies would perform this work and pay 3 percent of the proceeds to Cho’s companies. This is another [...]Read more

Women-Owned Small Businesses and Sole Source Contracts

Written by and
President Obama’s administration has made it a priority to meet the Small Business Administration’s (SBA) prime and subcontracting goals, which include metrics relating to the percentage of government contracts awarded to small businesses, women-owned small businesses (WOSB), small disadvantaged businesses, service disabled veteran-owned small businesses, and historically underutilized business zones. Although in fiscal years 2013 and 2014 government agencies met or exceeded their prime contracting goals for small businesses in general, they did not achieve their goals for WOSBs. One way to [...]Read more

Proposed Rule Requires Prime Contractor to Report Late or Reduced Payments to Small Business Subcontractors

Written by and
On January 20, 2016, the Department of Defense, General Services Administration, and NASA issued a proposed rule to amend the FAR and implement a section of the Small Business Jobs Act of 2010. This proposed rule, which will implement Section 1334 of the Small Business Jobs Act of 2010 and the Small Business Administration’s (SBA) implementation of Section 1334, requires that, among other things, a prime contractor (1) notify the contracting officer, in writing, if the contractor makes a reduced or untimely payment to a small business subcontractor; and (2) disclose the reasons for the reduced [...]Read more